As much as you may want to, as a small business owner, it is impossible for you to do everything within your business. Outside out burnout, taking on every single position within your business can lead to costly mistakes and problems down the road. Knowing when and why to outsource some responsibilities is key to growing your business.
Outsourcing allows you to share the load with other professionals without technically hiring full-time employees. Before getting started on your outsourcing journey, here are 6 things you should consider beforehand.
- Think about your personal strengths and limitations.
Outsourcing should improve efficiency and effectiveness. Be honest about the things that you absolutely cannot do (or don’t like to do) that are time-consuming and require attention to detail (e.g., HR, payroll, bookkeeping, etc) and hire an expert.
- Clearly outline outsourcing goals and expectations.
Make a list of costs, needs, skills, and expectations that this partnership is supposed to meet and/or fulfill. Set deadlines and determine what success with outsourcing looks like for your company. The goal is for outsourcing to improve your company’s functionality.
- Create space for them within your company.
Someone within your company, a hired employee, should manage and watch over your outsourced partnerships. They should serve as the company’s liaison, handling weekly meetings and gathering data and updates to make sure everything is up to date and on track.
- Find the right outsourcing partner.
The professional you choose should be an expert in their area of expertise. They should offer the services that you need and be an overall ‘good fit for your company. Take the time and researching and interviewing potential partners as you would if you were hiring a personal employee.
- Negotiate the right terms.
Be mindful of intellectual property ownership. You should maintain ownership of whatever tools and processes are being used to support your business’ flow in addition to whatever deliverables are exchanged throughout the partnership.
- Remain watchful.
Ultimately you, the business, are responsible for the mishaps of the outsourced partner, should anything happen. Protect your data and client information by not giving out any more information or access than what’s absolutely necessary.
Remember to thoroughly vet and continuously reevaluate your relationship with outsourcing companies. Make sure they are always operating within industry and legal (federal, state, and local) compliance and that they have the proper procedures and processes in place to ensure client and data safety. For more information on outsourcing and to get started contact Hornet Capital Solutions so we can discuss your business needs.